Research On Tax Management Of High-Income And High-Net-Worth Taxpayers In China

After more than 40 years of reform and opening up and rapid economic growth,the income and wealth of the Chinese residents have increased substantially,and the people have effectively gained the dividends of economic development.Among them,high income and high net worth individuals have the fastest growth in income and wealth and the largest increase in property,and they are the group that receive the most dividends in the process of reform and economic development.In contrast,the high-income and high-net-worth people contribute less to the taxation,and their social responsibility is insufficient.In some fields,there is still a relatively prominent problem of tax evasion.Narrowing the gap between the rich and the poor and realizing common prosperity are the essential requirement of socialism.As early as 2017,the report of the 19th CPC National Congress stressed the need to promote tax reform and build a natural person tax management system with the focus on high-income earners.In 2022,The 20th National Congress of the Communist Party of China once put forward to standardize the order of income distribution,standardize the mechanism of wealth accumulation,protect legitimate income,adjust excessive income,and ban illegal income.Therefore,it is very meaningful to study the income and wealth characteristics of the high-income and high-net-worth people,explore the tax system to meet the tax needs of them in the new era,and establish a tax collection and management system suitable for the management characteristics of the high-income and high-net-worth people.This thesis thinks that the core characteristics of the the high-income and high-net-worth people are high income,high property,and fast growth of property income.China’s current tax system and tax collection and management system cannot meet the needs of the high-income and high-net-worth people,so it is urgent to be reformed and improved.China’s current tax system has the characteristics of commodity tax as the main body,The low proportion of personal income tax and lacking of property tax have led to insufficient taxation and closed-loop taxation of the high-income and high-net-worth people,and the regulation of income distribution.The existing tax collection and administration system in China is still focused on enterprises and organizations,and the natural person tax collection and administration system is not perfect,which limits its ability of taxation.Therefore,in order to realize the full and complete taxation of the high-income and high-net-worth people,it is necessary to adopt way of tax system and tax collection and management in the short term and improve the tax system in the long term.This thesis is divided into six chapters.The first chapter is the introduction,it comprehensively expounds the research background and practical significance of the paper.The second chapter mainly explains the definition of high-income,high-net-worth people.And it analyzes its income and property structure.The third chapter focuses on combing the tax management policies and the current situation of tax collection and management of the high-income and high-net-worth people through data and actual cases.The fourth chapter is based on the current management status,analyses the four major problems of the high-income and high-net-worth people in the tax system and tax collection and management.The fifth chapter puts forward corresponding suggestions for the problems of tax system construction,management mode,international tax avoidance and illegal punishment.There are two innovations in this thesis.One is the innovation of the research perspective.This paper is from a macro perspective to manage the high-income and high-net-worth people.In order to achieve full and closed-loop taxation for the high-income and high-net-worth people,it is necessary to improve personal income tax,property taxes and inheritance tax.